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Market Forces and Sex Discrimination

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  • Judith K. Hellerstein
  • David Neumark
  • Kenneth R. Troske

Abstract

We report new evidence on the existence of sex discrimination in wages and whether competitive market forces reduce or eliminate discrimination, based on plant- and firm-level data on profitability, growth and ownership changes, product market power, and workforce sex composition. Our strongest finding is that among plants with high levels of product market power, those employing more women are more profitable, consistent with sex discrimination in the short run when plants have product market power. We do not find that these discriminatory employers are punished over time through lower growth, or are bought out by nondiscriminators.

Suggested Citation

  • Judith K. Hellerstein & David Neumark & Kenneth R. Troske, 2002. "Market Forces and Sex Discrimination," Journal of Human Resources, University of Wisconsin Press, vol. 37(2), pages 353-380.
    • Handle: RePEc:uwp:jhriss:v:37:y:2002:i:2:p:353-380
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    More about this item

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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